(a) Terms/ rights attached to equity shares
 
 The Company has only one class of equity shares having par value of
 Re.1 per share. Each holder of equity shares is entitled to one vote per
 share In the event of liquidation of the Company, the holders of equity
 shares will be entitled to receive any of the remaining assets of the
 company, after distribution of all preferential amounts. The distribution
 will be in proportion to the number of equity shares held by the
 shareholders.
 
 (b) The Company has not issued any shares for consideration other than
 in cash or by way of bonus during a period of five years immediately
 preceding the balance sheet date.
 
 (c) Nature of Security :-
 
 Term loans from bank is secured by hypothecation of plant & machinery,
 furniture & fixture and other fixed assets (present as well as proposed
 to be purchased). The Term Loan is also secured by personal gurantee of
 promoters and equitable mortgage of land & building situated at plot
 No.3,sector -25,Faridabad.
 
 Working Capital facility is secured by hypothecation of stocks of raw
 Material ,semi-finished, consumables both (existing &
 future),receivables.  The working capital is also secured by personal
 gurantee of promoters and equitable mortgage of land & building
 situated at plot no.3,serctor-25,Faridabad.The facility is repayable on
 demand and carry interest ranging between 12.25 % to 13.75%.
 
 1.1 : CONTINGENT LIABILITIES
 
 a) Demand under Haryana VAT ACT 2003 and CST ACT 1956 for the
 Assessment Year 2003-04, 2004-05, and 2006-07 amounting to Rs. 60.18
 Lacs (Previous Year - Rs.60.18 Lacs) against which Company has filed an
 appeal before Joint Commissioner (Excise &Taxation) Faridabad &
 Tribunal at Chandigarh.
 
 b) Textile Committee Cess Rs. 4.06 Lacs upto December 2000 (Previous
 year Rs. 4.06 Lacs)
 
 c) Tax Demand of Rs. 21.46 Lacs for assessment year 2000-01 (Previous
 year - Rs. 21.46 Lacs) under Haryana Local Area Development Tax
 Act,2000.
 
 d) The Company (through Faridabad Textile Processors Association) has
 filed writ petition before Hon ble Punjab & Haryana High Court in the
 matter of applicability of Sales Tax on Job work. The company may be
 liable to pay Sales Tax on Job Work already / to be undertaken by it,
 if the case is not decided in the favour of the Company / Association
 the amount of which is unascertainable. (Previous year NIL)
 
 1.2 : RELATED PARTY DISCLOSURES
 
 As per Accounting Standard (AS)-18 issued by The Institute of Chartered
 Accountants of India, the disclosure of transactions with the Related
 Parties as defined in Accounting Standard are given below:-
 
 Related parties with whom transactions have taken place and
 relationships:
 
 ASSOCIATES
 
 1 Balaji Trading Company Firm in which M.D. is Proprietor
 
 2 Indian Texprints Firm in which E.D. is Proprietor
 
 3 Tanfac Apparels Ltd. Company in which E.D. is Director 
 
 KEY MANAGMENT PERSONNEL
 
 1 Shri N.P. Jhanwar Managing Director
 
 2 Shri R.N. Maheshwari Executive Director
 
 3 Shri S.N. Maheshwari Director Relative of Key Management Personnel
 
 1 Shri Abhishek Maheshwari Son of Managing Director
 
 2 Shri Aditya Maheshwari Son of Executive Director
 
 1.3 : PROVISIONS FOR CURRENT TAX
 
 Provision for current tax amounting to Rs.16.15 lacs hasbeen made under
 section 115JB of Income Tax Act1961. In view of tax credit available
 U/S 115JAA of Income Tax Act 1961, the Company has credited MAT credit
 entitlement account of equivalent amount by crediting Statement of
 Profit & Loss.
 
 1.4 : The Company has continued to treat plant & machinery as
 continuous process plant on the basis of expert opinion obtained. This
 being a technical matter without forming an independent opinion has
 been relied upon by the Auditors
 
 1.5: Provision on account of impairment of Assets as required under AS
 - 28 ICAI has not been made, as in the opinion of the management , the
 carrying amount of the Assets is not less than the recoverable amount.
 
 1.6 : The Company is engaged in business of Textile viz Fabric
 Processing and Garment Manufacturing, which has been considered as one
 reportable segment, therefore, no disclosure on segment wise revenue
 etc., has been given.
 
 1.7 : Till the year ended 31 March,2011, the Company was using
 pre-revised schedule -VI to the Companies Act, 1956, for preparation
 and presentation of its financial statements. During the year ended 31
 March,2012, the revised schedule -VI notified under the Companies
 Act,1956, has become applicable to the Company. The Company has
 reclassified, regrouped or recasted previous year figures to conform to
 this years classification.
 
 The accomanying notes referred to above forms an integral part of the
 financial statements